Self-Construction Finance

Self-Construction Financing is a product of SAIB in collaboration with REDF, which allows customers to get financing against their owned residential land to fund the construction of their home. Customers can also avail the benefits offered by REDF under Madoom Program with this product.

Customers can get financing from the Bank, which will be paid to them in tranches, based on the construction progress.

Shariah compliant financing, based on Murabaha.

No Cash Down Payment Required, land value considered as down payment. Financing amount will be 90% of land value + future construction value (for first house).

REDF will cover profit portion of the finance up to a maximum finance amount of 500,000 through Madoom Program.

Free Takaful life coverage against death or permanent disability, God forbid, without any medical test for finance up to 2,500,000.

Free Takaful Property coverage against fire and natural disasters such as floods, storms, earthquakes and resulting damages.

Maximum debt burden ratio (DBR) is 65% out of the gross income.

Disbursement Schedule: 15%, 25%, 25%, 35% (within 36 months of financing).

Minimum finance amount of 250,000 and maximum 7,000,000.

Minimum finance period of 5 years and maximum 25 years.

Key Requirements

to apply for Self-Construction Finance

Saudi citizen.
Applicant must be listed on the REDF’s and Ministry of Housing’s finance lists.

Standard SAIB loan administration fees. (1% of the finance amount up to a maximum 5000) will apply.
The SAIB Self Construction Finance facility comes with a complimentary salary account with no minimum balance requirements.

Minimum age of 20 years old with a maximum age of 70 at the maturity.

Applicant must open an Account with SAIB and assign salary.
The account offers free cheque-book, mada Debit Card from The Saudi Investment Bank and access to SAIB Flexx Click Internet Banking, Flexx Call contact center and SMS Banking facilities.

Employer’s salary transfer certificate and Account statement of last 3 months (showing last 3 salaries which are verified from the previous bank).

Product Risk

To view the Home Finance product risks, click here.

Help & Support

For more information and details, please call us at: 800 124 8000.

Home Finance Calculator

The calculator provides estimates only.

Is It The First House?

Yes No

Your Age

20 Years

Property Price

Gross Income

Repayment term

0 Months

Down Payment

Monthly obligations

Monthly payments

00,000

For exact figures please visit your nearest SAIB Branch.
All personal financings are subject to credit approval.

An example of information that will be obtained when applying for a product

Property evaluation ( )	500,000
LTV %	90
Type of term cost	Fixed
APR %	7.40
Finance Tenor (Years)	15
Payment method	Monthly deduction from customer's salary
Monthly Installment Amount ( )	4,037.18
Early settlement amount	1-2 Years: Total profit amount of the 1st two years After 2 years: profits of the three subsequent installments

*The Annual Percentage Rate (APR) may differ based on the amount and maturity period.

FAQ's

Yes, salary transfer to SAIB is mandatory in order to obtain any of SAIB home finance products.

Yes, the land owned by you has to be mortgaged to the Bank in order to avail financing.

No, this product is only for eligible Saudi nationals listed on the REDF’s and Ministry of Housing’s finance lists.

No, only those who are listed in REDF’s and Ministry of Housing’s finance lists can get this product. If you are not eligible to get this product, you may apply for SAIB Murabaha Home Finance instead. To learn about Murabaha Home Finance, please click here.

Yes, this product is Sharia-compliant and based on Murabaha principle.

The maximum finance amount is 7,000,000.

The maximum finance amount is 5,000,000.

1% of the finance amount up to 5,000 (whichever is lower).

The minimum service period:
For Government Sector: 1 month with current employer
For Private Sector: 3 months with current employer

Joint finance is not eligible as per REDF’s criteria.

Yes, you can, provided that you meet the Bank’s terms and conditions (To learn more about these terms, please call us at 800 124 8000).

Please click here or contact our Flexx Call contact center at 800 124 8000 .

Self-Construction Finance